Spokesperson Stephanie McGuane told SFGATE that Ballast Point's plans to introduce a taproom to the San Francisco market have been abandoned, attributing the closures to Constellation readjusting its cost structure based on changes in the craft beer industry.

The had company announced its intention to open the brewpub at 705 16th Street in August. It would have included a three-barrel brewing system and restaurant serving beers made in-house specifically for San Francisco.

At the time, Ben Dollard, president of craft and specialty brands at Constellation, told the Chronicle the San Francisco location would be "a natural extension of our presence here."

However, overall sales of Ballast Point beers declined in 2017 and 2018, and as Brewbound reported Tuesday, the company is now in the process of closing its 80,000-square foot barrel-aging and mixed-fermentation facility in San Diego and has already closed its Temecula, Calif. brewpub.

The company continues to operate its main breweries in San Diego and Virginia, as well as a number of brewpubs in Southern California and Illinois.

"This action is to right-size our investment and align resources based on recent craft trends," McGuane told SFGATE. "Consumers can continue to access Ballast Point products in on and off-premise establishments throughout Northern California and across the country."

Constellation's beer profits are overall at this point looking up; the company posted an 11.6% increase in the net sales of beer brands in the period between February 2018 and February 2019, primarily due to sales of Modelo and Corona.